Bluerock Value Exchange has launched BR Diversified Industrial Portfolio 8, an all-cash Delaware Statutory Trust offering seeking approximately $58.4 million from accredited investors. The offering represents BVEX’s 46th individual DST program and its eighth consecutive industrial-focused offering.
The portfolio consists of five industrial properties across Florida, Illinois, and Missouri totaling approximately 460,000 rentable square feet of warehouse, distribution, and industrial outdoor storage space.
The properties are 100% leased to large national tenants under long-duration triple-net leases, with a weighted-average lease term of nearly 13 years.
Bluerock said current rents average approximately 20% below market levels, providing potential for future rent growth.
The DST currently distributes 4.8% on an annualized basis under its Master Lease structure, with distributions paid monthly. The all-cash structure also eliminates property-level leverage risk.
At the end of the anticipated holding period, investors may have several potential exit paths, including a tax-deferred 721 UPREIT exchange, taking cash proceeds and completing another 1031 exchange, or receiving taxable cash proceeds.
KEY QUOTES:
“We continue to see strong demand from 1031 exchange investors seeking income-producing industrial portfolios in high-growth markets, particularly in an all-cash structure that eliminates leverage risk. DIP 8 checks all the boxes for our investors: a geographically diversified, fully leased portfolio anchored by long-tenured national tenants, with in-place rents averaging 20% below current market rates.”
Josh Hoffman, President of Bluerock Value Exchange
